Oil Down Is an Organization Which Is Exploring the Possibility

question 50

Essay

Oil Down is an organization which is exploring the possibility of striking oil in the outskirts of a local county.It strikes oil and transports it with the help of pipelines running through the local creek and river.One day,due to some reason,the oil pipeline ruptures,thereby causing contamination of the local creek and river.Under which act would the organization be liable to the federal government and what would be the punishment accorded to the organization?

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Definitions:

Conversion Costs

Costs incurred in the process of converting raw materials into finished products, typically including direct labor and manufacturing overhead.

Assembly Labor's Wages

The earnings provided to employees who work specifically in assembling parts or products in a manufacturing process.

Raw Lumber

Unprocessed wood used as a base material in construction and manufacturing, typically sold in bulk or by the board foot.

Materials Cost Per Unit

The total cost of materials required to produce a single unit of product, including direct and sometimes indirect materials.